The Enforcement Directorate (ED) has arrested Mr. Subodh Kumar Goel, former Chairman and Managing Director of UCO Bank, in connection with a massive bank fraud and money laundering case involving Concast Steel and Power Limited (CSPL). The case pertains to an alleged financial scam amounting to Rs. 6,210.72 crore.
Also Read: PFC, IREDA Explore Legal Action Against Gensol Over ₹977 Crore Loan Amid SEBI Fraud Charges
According to ED officials, the arrest follows revelations during their ongoing probe that Mr. Goel, during his tenure as CMD of UCO Bank, had sanctioned substantial credit facilities to CSPL. These funds were allegedly misused and diverted on a large scale by the borrower company, constituting serious violations of banking norms and money laundering laws.
The federal agency further alleged that Mr. Goel received considerable illegal gratification from the borrower group in return for facilitating the credit approvals. These transactions form the core of the ED’s charges under the Prevention of Money Laundering Act (PMLA).
Mr. Goel was produced before the Special PMLA Court in Kolkata on May 17 and has been remanded to ED custody till May 21 for further interrogation.
The case adds another layer to the widening crackdown by central agencies on high-value banking frauds and financial irregularities. The ED’s investigation is likely to delve deeper into the chain of approvals, fund flows, and other financial entities involved in the alleged scam.
Also Read: Telangana Sets Up IAS Panel to Probe Alleged Fraudulent Sale of Bhoodan Land
